Petroceltic Scores 9 Exploration Permits Offshore Italy

Petroceltic International plc has announced that its wholly owned Italian subsidiary, Petroceltic Elsa Srl., has been granted nine exclusive exploration permits in the central Adriatic offshore Italy.

Included in the awards to Petroceltic are permits d492 and d493, which were subject to a competitive external bid. These interests together with the other seven permits d494 to d500, and Petroceltic's existing interest in the BR 268RG offshore permit, gives the company access to a near contiguous proven hydrocarbon play fairway of over 2,660 square kilometers along the Apulian Carbonate platform margin offshore Italy.

The permits in water depths of 30 to 150 meters are located adjacent to existing oil and gas fields which have demonstrated three working hydrocarbon plays in this region; the Cretaceous Miglianico/Elsa basin floor fan and the Cretaceous-to Miocene Rospo Mare/Ombrina Mare platform carbonate oil plays, the latter recently successfully drilled by the OM-2 well, and the Santo Stefano Mare Pliocene biogenic gas play.

Interpretation of 2D seismic data has revealed a number of prospects and leads in the permits. Future plans involve obtaining additional new seismic data in order to high-grade prospects for drilling.

In accordance with the normal Italian award process, the permits have been granted on a preliminary basis, pending the submission by Petroceltic of an environmental impact study for approval by the authorities.

"I am delighted with the award of the nine permits which is a culmination of our strategy to build a substantial acreage position in this proven but sparsely explored oil and gas region of offshore Italy. I am particularly pleased that two of the permits were won by Petroceltic in the face of competition. We believe that these and all of our Italian permits have the potential to deliver substantial future value for shareholders," said Petroceltic CEO John Craven.